HIVE Signs $350 Million AI Cloud Deal as Bitcoin Miner Expands Into AI

Key Takeaways

• HIVE’s BUZZ HPC has signed a five-year AI cloud contract worth about $350 million with an unnamed “investment-grade enterprise customer.”
• The deal will roughly add $70 million in annualized revenue, bringing BUZZ HPC’s total annualized revenue to about $180 million.
• HIVE will deploy 2,016 NVIDIA Blackwell Ultra GPUs at its hydro-powered facility in British Columbia.

Bitcoin miner HIVE Digital Technologies is expanding its AI infrastructure business after its BUZZ High Performance Computing subsidiary signed a five-year GPU cloud services agreement worth about $350 million. This is the company’s second big deal in two months.

HIVE did not disclose the counterparty's name, describing it only as an “investment-grade enterprise customer.”

“The agreement represents approximately $350 million in total contract value over five years and adds approximately $70 million in annualized revenue. This brings BUZZ HPC's total annualized revenue to approximately $180 million, comprised of approximately $35 million in active, realized ARR today and approximately $145 million in contracted ARR expected to come online through Q4 2026,” said HIVE.

Under the agreement, BUZZ HPC will deploy 2,016 NVIDIA Blackwell Ultra GPUs in GB300 NVL72 rack-scale systems, wired with Quantum-X800 InfiniBand networking and VAST Data storage. The cluster will support AI training, inference, and other enterprise workloads.

The infrastructure is expected to become operational later this year at HIVE’s Bell AI Fabric facility in Merritt, British Columbia. The site uses renewable hydroelectric power and closed-loop liquid cooling.

HIVE expects the deployment to require around $185 million in capital expenditure. A $35 million upfront customer deposit, equal to 10% of the contract value, will help fund the project alongside other financing.

The company retains ownership of the infrastructure and expects its HPC/AI daily revenue to reach around $500,000 once the cluster is delivered during the fourth quarter of this year.

Aydin Kilic, president and chief executive of HIVE, said, “We are pleased to announce this agreement as we accelerate towards our year-end target of $200 million of ARR for our GPU cloud business.”

On Friday, HIVE reported quarterly revenue of $79.1 million, including $7.1 million from BUZZ HPC. Year over year, the subsidiary’s revenue has increased by 47%, while contracted GPU cloud ARR reached approximately $110 million.

HIVE Shifts Focus on AI and Cloud Computing

This is HIVE’s second major GPU cloud deal in the last two months.

In June, BUZZ HPC signed a separate three-year $220 million sovereign AI cloud contract. It was signed at the same Merritt facility and deployed NVIDIA Grace Blackwell systems for Bell and Cohere.

The latest deal highlights HIVE’s broader shift from relying mainly on Bitcoin mining to AI computing and long-term infrastructure revenue.

AI cloud services can provide longer-term contracts than crypto mining. It will help the company diversify its business, as Bitcoin mining margins remain sensitive to network difficulty.

The GPU deployment also increases HIVE’s exposure to growing demand for AI computing. Using renewable hydroelectric power could further support its position as companies seek energy-efficient infrastructure for large AI workloads.

But its success depends largely on how quickly HIVE can deploy the new infrastructure and turn its growing AI capacity into consistent cash flow.

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